State-run Bharat Petroleum Corporation Ltd (BPCL) has achieved a historic milestone by importing 2 US cargoes of LPG on spot purchase basis for the first time, with the cargoes arriving in May 2026. According to VRK Gupta, director (finance) at BPCL, these are very large gas carriers (VLGC) with a capacity of 45,000-48,000 tonnes. The mobilization period from the US is approximately 45 days, making these cargoes crucial for easing supply constraints faced by India, the world's second-largest LPG importer.
The import diversification comes as India imports 60-65% of its annual liquefied petroleum gas requirement of 33 million tonnes, with nearly 90% of these imports sourced from West Asia prior to the current conflict. As reported by Mint, the blockade of the Strait of Hormuz has significantly impacted India's LPG imports, as West Asia supplied 90% of India's overall cooking gas imports before the war that began on 28 February. BPCL's LPG business accounts for about 28% of the country's liquefied petroleum gas market, covering 93.5 million cylinder connections.
LPG remains a sensitive issue in India as it serves 340 million households for cooking purposes. According to Mint reports, as the conflict in West Asia intensified in March, India has implemented mandatory booking intervals of 25 days in urban areas and 45 days in rural areas to manage demand. The three oil marketing companies—BPCL, Indian Oil Corp Ltd (IOCL) and Hindustan Petroleum Corp Ltd (HPCL)—have signed a deal to import 2.2 million tonnes of LPG from the US to ramp up imports from the US amid the West Asia war.
BPCL's spot crude oil purchases at higher prices have increased to 55% of total imports over the past two months, up from 45% in the pre-war period. As reported by Mint, Gupta explained that when the last fiscal started, procurement of crude through long-term contracts was around 55%, while spot purchase was around 45%. He noted that as long as the conflict scenario continues, this trend of higher spot purchases may continue. Traditionally, West Asia accounted for 60-70% of India's oil imports, but the war has disrupted these supplies totally.
BPCL reported exceptional financial results for FY26, with net profit jumping nearly two-fold to ₹25,843.45 crore compared to ₹13,336.55 crore in FY25. According to company reports, revenue from operations rose to ₹5.22 trillion in FY26 from ₹5 trillion in the previous year. Net profit for the quarter ended March rose 28% year-on-year to ₹4,391.83 crore, while declining 21.7% sequentially. Gupta attributed the revenue and profit growth to healthy refinery performance, crude throughput, growth in product sales and robust treasury functions.
